State Operations Manual (Pub. 100-07), Ch. 10 § 10006.3
Effect of Sanction/Remedy on Patients Admitted before the Effective
10006.3 - Effect of Sanction/Remedy on Patients Admitted before the Effective
Date of Sanction/Remedy
(Rev. 221; Issued: 05-10-24; Effective: 05-10-24; Implemetation:05-10-24)
The patient’s status on the effective date of the suspension of payment sanction/remedy is the
controlling factor. This sanction/remedy would not apply to patients who have been receiving
care from the HHA or hospice program before the effective date of this sanction/remedy. This
sanction/remedy would apply only to new Medicare admissions. CMS will suspend payments
for new Medicare patient admissions to the HHA or hospice program that are made on or after
the effective date of the imposition of the sanction/remedy for the duration of the
sanction/remedy. Payments for individuals who are already receiving services could
continue. CMS defines a “new admission” as the following:
• A patient who is admitted to the HHA or hospice program under Medicare on or after the
effective date of a suspension of payment sanction/remedy; or
• A patient who was admitted and discharged before the effective date of the suspension of
payment and is readmitted under Medicare on or after the effective date of suspension of
payment sanction/remedy.
As part of this sanction/remedy, the HHA or hospice program would be required to notify any
new patient admission, before care is initiated, of the fact that Medicare payment would not be
available to this HHA or hospice program because of the imposed suspension. The HHA or
hospice program would be precluded from charging the Medicare patient for those services
unless it could show that, before initiating the care, it had notified the patient or
representative both orally and in writing in a language that the patient or representative can
understand that Medicare payment is not available.
The suspension of payment sanction/remedy will end when CMS finds that the HHA or hospice
program is in substantial compliance with all the CoPs or when the HHA or hospice program
is terminated. That is, the suspension of payment sanction/remedy would end when the HHA or
hospice program has corrected all condition-level deficiencies, and the correction has been
verified by the SA. Any Medicare patients admitted during the suspension of payment period
would require a new start of care (SOC) date after the suspension of payment for new
admissions has ended. This is required for the HHA or hospice program to begin receiving
payments for those patients.